Circular Supply Chain Planning: Balancing New and Recovered Product Demand in Production Scheduling

Author(s)	Sahil Bansal
Country	United States
Abstract	The transition from linear to circular supply chains necessitates fundamental changes in production scheduling, particularly when manufacturers must simultaneously fulfil demand for new products and recovered (remanufactured) products. This paper presents a conceptual framework for integrated production scheduling that balances new and recovered product streams while managing demand cannibalisation, uncertain return flows, and shared capacity constraints. The framework introduces a Demand Cannibalisation Index (DCI) that quantifies the substitution effect between new and recovered product demand, enabling planners to make informed scheduling trade-offs. Drawing on closed-loop supply chain literature and production planning theory, this paper identifies key planning challenges, proposes a practitioner-oriented scheduling framework, and outlines managerial implications for manufacturers pursuing circular economy strategies. The framework is validated through an illustrative case in the consumer electronics sector, demonstrating its applicability to real-world production environments.
Keywords	Circular supply chain, production scheduling, remanufacturing, demand cannibalisation, closed-loop supply chain, recovered products, capacity planning
Published In	Volume 6, Issue 9, September 2025
Published On	2025-09-10
DOI	https://doi.org/10.70528/IJLRP.v6.i9.2365

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